The food, beverage and consumer packaged goods sectors face unprecedented energy challenges amid surging demand, grid constraints, and rising costs, according to a new survey released by AlphaStruxure and Schneider Electric.
Key takeaways:
· Food processors are grappling with long utility lead times, escalating electricity rates, and urgent decarbonization goals.
· 57% of food processors planning expansions face challenges securing additional grid power.
· 52% reported their electric utilities lacked sufficient capacity to support their expansions.
· Seven in 10 are waiting at least three years for capacity upgrades.
· Processors reported 6-plus-year lead times for large-scale utility upgrades (10 MW+), threatening to delay expansions.
· 91% of respondents pay above the $0.08/kWh U.S. industrial 2024 average price for electricity.
· 47% are seeing electricity costs rise at least 26% over five years.
· Six in 10 reported high confidence in achieving sustainability goals, while four in 10 did not.
· 81% use backup generators, yet 63% lack enough capacity for extended outages.
